Russian Ministry of Internal Affairs Officials Accused of Taking $53.2 Million Crypto Bribe
Russian Ministry of Internal Affairs Officials Accused of Taking $53.2 Million Crypto Bribe
In a shocking turn of events, officials from the Russian Ministry of Internal Affairs have been accused of accepting a massive $53.2 million bribe in Bitcoin and Ethereum from a crypto exchange executive. According to reports from a major newspaper in the country, Georgy Satyukov and Dmitry Sokolov, employees at a secretive division within the ministry, were allegedly involved in the scandal.
The officials, who were said to be part of the Bureau of Special Technical Events, also known as “Department K,” reportedly received the bribes in cryptocurrency over a period spanning from March 19 to October 2021. Department K is believed to be a secret cyber crime investigation unit that was looking into the activities of the BTC-e crypto exchange.
BTC-e, founded by Alexander Vinnik, came under scrutiny for alleged fraud and money laundering activities. After Vinnik’s arrest in Greece in 2017, a Singapore-based firm named Wex took over the exchange’s operations. It is reported that an executive from Wex, Alexey Ivanov, offered the bribes to Satyukov and Sokolov to protect him from a police investigation.
The accused officials allegedly received a total of BTC 2,200 and more than ETH 10,000 from Ivanov, which was transferred through Sokolov to cryptocurrency wallets held by Satyukov. Following the allegations, Satyukov and Sokolov reportedly fled the country and are currently residing in Dubai.
The case has raised concerns about the use of cryptocurrency in illicit activities, with experts pointing out that every transaction is traceable on blockchain networks. This incident comes at a time when Russia is facing criticism for its lack of crypto regulation, with the Financial Action Task Force downgrading the country’s compliance rating due to insufficient regulation of virtual assets.
As investigations into the bribery scandal continue, the Russian government is under pressure to address the issue of crypto regulation and prevent similar incidents in the future. Meanwhile, the accused officials remain at large, sparking a nationwide debate on the accountability of law enforcement officers in the country.
